Sony just reported a couple of important details: the PS5 It has more than 10 million units sold, but, at the same time, it has a considerable drop in the sale of software. Microsoft revealed that Xbox Series X | S it’s your fastest-selling ‘console’ in its history.
Remember that the PS5 and the Xbox series x It came out in the middle of the pandemic and that brought several problems: production, distribution and a lot of reselling. The only solution seems simple: ‘make more consoles’, however, it is not as simple as it seems.
Right now, the whole world is going through a chip production crisis that will not be so easy to overcome in the short term because more than one factor causes this phenomenon.
Now, PS5 Y Xbox series x They are not the only ones with problems, the chips are also used by cars, smart refrigerators and a myriad of items that need new technology to offer innovations in more than one parameter.
We are going to tell you what the main problem is and if it really is PS5 Y Xbox series x They will be able to overcome this problem that afflicts the whole world.
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There are not so many producers
It is not that Microsoft or Sony manufacture the chips of the PS5 Y Xbox series xOn the contrary, this technology belongs to AMD and hence someone must manufacture for both companies.
They are not the only customers of these chipmakers, they are also NVIDIA, Qualcomm and other companies that depend on factories in Asia to meet a demand around the world. To this he adds that much cheaper chips are needed, not like Apple’s M1 which is certainly expensive and intended for a consumer class.
Three companies, two in Asia and one in North America, are in charge of making high-end chips. To this he adds that, in recent years, the same factories have merged to try to meet this demand, but the facilities are not cheap and may require an investment of up to 20 billion dollars.
Added to this, there is a key tool for the manufacture of these chips that only one company sells in the Netherlands and is worth 100 million dollars. Be careful, the only chip that benefits from this expensive technology is Apple with its M1, which is a piece of hardware that is sold at a high price.
PS5 and Xbox Series belong to a small chain of customers who need novelty chips
Apple is a company that is willing and able to pay for the M1 chips it needs in its new computers and phones. AMD, NVIDIA and Qualcomm are the other companies that are in this circle
vicious because they require that novel technology in everything their brand has.
PS5 Y Xbox Seriess are new items that require a certain quality in their chips and AMD he knows. It’s not like a computer you use just to use Word and browse that maybe doesn’t require a processor with more than two cores and, at most, eight nodes.
Add to the list of items televisions, refrigerators and even cars are running out of those lagging technology chips. Manufacturers themselves are taking the path of leaving all the old in the past and relying on the latest, putting an industry that needs to be much cheaper in jeopardy.
What came out 5 or 6 years ago, again had a certainly high price, to that he adds that there is no one who wants to continue producing old chips. Those who can come to the rescue of all this are the Chinese because their factories are backward and could cover an important demand around the world.
Ending the pandemic, will we have more PS5 or Xbox Series? Or as?
The pandemic caused by COVID-19 not only affected our health, it caused an absurd demand for technology that seems to have reached a peak at the production level. Workers could not go to factories, shipments did not travel from one country to another, and the imminent arrival of new hardware in PS5, Xbox Seriess and even on the new graphics cards of NVIDIA they took their toll.
It is certainly a complex situation because there is demand everywhere: Apple needs its expensive M1s to be made, AMD needs the chips for next-generation consoles, cars require old chips for simple functions, and Teslas use much more expensive chips. because it is an electric vehicle.
We only have three high-end factories for everyone and surely in those same companies they are in charge of something of the ‘mid-range’, while in the most lagging places they are left with obsolete technology to cover certain needs. The demand is so great that they are falling short in production.
Put the conflicts (of interest) between the United States and China into this whole equation, and the result is a complicated operation to perform. You’ll be one of the lucky ones if you get a PS5 or Xbox Series X, because not only did you outgrow the resellers and their technology, you also found a piece that relies on an industry that is between a rock and a hard place.